Purpose
Determine the extent of implementation of the three recommendations included in our initial report, Oversight of Revenue Contracts (Report 2009-S-15).

Background
Our initial audit report, which was issued on February 10, 2010, determined whether the Department was maximizing all potential revenue opportunities, and monitoring its revenue contracts to ensure all entitled revenue is billed, collected and promptly deposited in appropriate accounts. We found the Department did not use all available methods for maximizing revenue from these contracts, such as adjusting the amounts to reflect cost-of-living (Consumer Price Index) increases. Had it done this, it could have realized an additional $460,000 in revenue from the 18 contracts. In addition, when we reviewed the amounts the Department set in the contracts, we found that it actually decreased some of the prices for the data files it sells and kept the price for one file the same.

Key Findings

Department officials have made progress in correcting some of the problems we identified in the initial report. They have taken action to maximize revenue and improve monitoring of contracts. However, they did not modify contract terms to encourage prompt payment or deposit revenue checks promptly.

Key Recommendations

Officials are given 30 days after the issuance of the follow-up review to provide information on any actions that are planned to address the unresolved issues discussed in this review.

State Government Accountability Contact Information:Audit Director:Carmen MaldonadoPhone: (212) 417-5200; Email:StateGovernmentAccountability@osc.state.ny.usAddress: Office of the State Comptroller; Division of State Government Accountability; 110 State Street, 11th Floor; Albany, NY 12236